An Overview of the Impact of Delta Variations on the ERC Deadline

Are you curious about the ERC deadline? The Delta version of COVID-19 has spread around the world, causing additional breakouts and shutdowns, prolonging the pandemic’s uncertainty. The current strain of the virus is more contagious than previous iterations, and although breakthrough infections are uncommon, they are nonetheless possible for some Americans who have had vaccinations.

Since the start of the epidemic, the government has implemented several COVID-19 relief programs, including the CARES Act, the Consolidated Appropriations Act, and the American Rescue Plan. Tax credits, such as the Employee Retention Credit (ERC) for select businesses that resist laying off people, were included in the relief. The Delta variation may have multiple effects on credits like these, but they will eventually come to an end.

Therefore, it is crucial now more than ever that business owners utilize these programs before the deadline. The Employee Retention Credit is what? What steps should employers take to maintain readiness? Additional information regarding handling the Delta variant, potential effects on enterprises, and tax relief is provided below.

Motives for Immediately Applying for the Employee Retention Credit

The Delta variation may indicate that new legislation to further relieve Americans and company owners is on the way. Why submit a tax relief application right away? Here are some compelling arguments for submitting an Employee Retention Credit application before the ERC deadline in December.

Changing Timetables and Laws

The Employee Retention Tax Credit expiration is set for the end of 2021, yet this could change given how unpredictable the virus is. Apply right away just in case the law is changed to impose more restrictions. Take advantage of the credit now rather than assuming that the deadlines will be extended once again into 2023.

Receive Support for the New COVID Precautions

The Delta variant might lead the country or at the very least your state, to enact mask regulations, and immunization laws. Or other occupational safety procedures. To follow these recommendations, you might require additional PPE. So that you can concentrate on those expenses and tax relief.

The Delta variant has entered the picture and could ultimately do more damage to your company, therefore you should never put off claiming the ERC. If you have any questions or are unsure of where to begin, see a tax specialist.

Three Tips for Business Delta Variants

Even if your company or community has not yet been severely affected, you should begin planning now for another surge in instances. The Delta variation is an excellent illustration of how we are powerless over what comes after. Here are five suggestions for employers to manage the new variety and continue in business:

1. Maintain Employee Payroll Status

If you have to fire employees, you might not be able to continue benefiting from tax breaks like the employee retention credit. Try to keep everyone employed so that you may participate in government initiatives like these.

2. Track the Increase in Cases

It is always a good idea to stay informed on developments with the virus and the Delta variant. For the most recent information, pay attention to the news and your industry. Establish a reliable communication system to update staff on current events.

3. Check to See If You Qualify for Other Relief Programs

There may be other COVID relief programs available this year that you can apply to. Even though the Paycheck Protection Program (PPP), which provided loans to eligible firms, expired in May 2021, the Delta variation of the program is still in effect. The Economic Injury Disaster Loan, the Shuttered Venues Grant, and Restaurant Revitalization Fund are examples of additional programs.

You Can Avoid Missing the ERC Deadline With Your Part Time Accountant

Simply put, a lot of business owners don’t know how to find out if they qualify for tax cuts or how to submit claims for relief when they do. Trust the tax professionals at Your Part Time Accountant. We can explain the Employee Retention Credit to you in detail because we are knowledgeable about it.

We provide you with efficient, convenient, and flexible assistance as you through the ERC application process. Our tax professionals offer advising and application support, and we save your information in a secure client portal. Start your ERC application right now online, or get in touch with the staff at Your Part Time Accountant.